Find the Right Loan

Cara Bradley

Written by

Cara Bradley

4 min read

Updated: 2nd January 2024

If you’re thinking about applying for a loan you may well be wondering where to start looking. It’s natural to feel a little overwhelmed or confused when researching different loans and lenders – how do you know which one is right for you?

To help you understand the type of loan that could suit your needs, you could start by asking yourself the following questions:

  • What are you planning to use the loan for?
  • How much money do you need to borrow?
  • How long would you like to borrow the money for?
  • How soon do you need the money?
  • How is your credit score looking?
  • Can you definitely afford a loan? Remember, you will be charged interest on your loan, which will be included in your monthly repayments.

We’ve provided a breakdown of the most common types of personal loan, which we hope will give you confidence when searching for your perfect match.

  1. Short-term loans
  2. We work with a panel of trusted lenders who offer loans from £100 to £10,000. The loan terms available to you will depend on how much money you choose to borrow - the shortest loan term we search for is 3 months.

    Short-term loans are not to be confused with payday loans, which are usually repaid in full in one lump sum on your next pay-date. Short-term loans, on the other hand, can be repaid in instalments, allowing you to spread the cost. You should be aware that the longer your loan duration the more you will pay in interest.

  3. Quick loans
  4. It’s important to remember that a loan is a serious financial commitment, and you should think carefully before applying for any type of credit. However, we understand that sometimes time is of the essence, especially when it comes to things like a broken boiler.

    If you are approved for a loan, the time it takes for the money to arrive in your account depends on the individual lender as well as your bank’s policies and procedures.

    To prevent any delays, make sure you answer all the questions on the form as accurately as possible. It’s also worth having certain information to hand, such as your bank details. Your lender may also ask for proof of your identity or a recent payslip.

  5. Same-day loans
  6. Some of the lenders on our panel are able to send your loan on the same day your application is approved. Remember though, the time it takes for the money to appear as available in your account depends on your bank and whether they accept Faster Payments.

  7. Bad credit loans
  8. A good credit score could mean that you have a better chance of being approved for a loan; however, this is not to say that applications from those with lower credit scores will automatically be turned down.

    Some lenders specialise in loans for people with bad credit, but it’s worth bearing in mind that if you are offered a loan the amount may be more manageable and at a higher interest rate.

  9. Emergency loans
  10. From a broken-down car to a packed-up appliance, life can be unpredictable. When an unexpected expense leaves us out of pocket, we may not have the funds to cover the cost upfront.

    In these stressful situations, you might have considered taking out a loan to give you a helping hand.

    If approved by the lender, it is possible for the money to be sent to your account on the same day, although your bank’s policies and procedures may mean that the money may not become available in your account straight away.

  11. Online loans
  12. Applying for a loan online may be quicker than arranging a face-to-face meeting directly with a lender, such as a bank.

    Our online application form is straightforward and should take no longer than 5 minutes to complete, giving you the flexibility to apply at a time that suits you.

    Once you have completed the form, we will show you your result in just 60 seconds.

    If you have been matched with a loan, you will be redirected to the lender’s website, where you will undergo some further checks, including a hard credit search.

    If you pass the lender’s checks, the money could be sent to your account the same day.

I’m struggling to make my repayments; what can I do?

While we understand that talking about money can feel awkward, we would strongly urge you to contact your lender as soon as possible. They will want to work with you to find a solution.

You can find free, impartial advice on all aspects of money management on sites like StepChange, National Debt Line, Citizens Advice, and MoneyHelper.

Viva Money are proud to have teamed up with StepChange to provide a free, online quiz for anyone worried about money. The answers you provide will signpost you to the right help for your situation.